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Tag: airline

  • Bamboo Airways to triple fleet size in 6 years

    Bamboo Airways to triple fleet size in 6 years

    Bamboo Airways plans to triple its fleet size to 100 by 2028, with new aircraft being delivered this quarter, despite major changes in its leadership.

    The airline is set to receive its 22nd narrowbody Airbus A321 jet and fourth widebody Boeing B7s87 this quarter, CEO and chairman Dang Tat Thang told shareholders at the recent extraordinary shareholders’ meeting of its parent company FLC.

    The airline currently has 29 jets, comprising 21 narrowbody aircraft, three Boeing B787s and five Embraer 190 regional aircraft, according to aviation data website Planespotters.

    Its competitors Vietnam Airlines operates 99 aircraft, and Vietjet 77. Thang became the new chairman of Bamboo Airways and FLC in March to replace Trinh Van Quyet who was arrested for alleged stock manipulation.

    The airline saw revenues rising 150 percent between the first and second quarter this year as travel resumed, Thang said. Bamboo Airways now operates nearly 200 flights a day on 60 domestic routes and 12 international routes, he added.

    It has recently increased pilot wages by 20 percent, he said.

    While FLC is set to experience a complete restructure this year, it will continue to expand Bamboo Airways’ operation both domestically and internationally, with the aim of making it a five-star airline of global standard, Thang said.

    “To achieve this goal, Bamboo Airways needs many new investors to increase its capital.”

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  • AirAsia introduces trial flights to China

    AirAsia introduces trial flights to China

    AirAsia Thailand (flight code FD) will launch direct flights to China and Hong Kong from its Bangkok Don Mueang airport hub starting 7 August. Initially, the low-cost airline will fly a weekly service but hopes to increase flights to twice a week in September and three times weekly in October.

    Promotional fares start at around THB2,990 one-way for members for travel up to 8 December 2022 booked through the AirAsia Super App. A pilot roundtrip flight between Bangkok Don Mueang and Guangzhou is scheduled for 13 July, with tickets to Thailand available on the AirAsia Super App. The flight is being carried out to demonstrate the carrier’s readiness to serve routes to and from China as soon as China announces the country’s official reopening for outbound leisure travel.

    AirAsia Thailand chief executive officer Santisuk Klongchaiya stated: “These two initial routes provide us with an opportunity to welcome visitors to Thailand. With restrictions further relaxed in Thailand, we have been marketing heavily in China and Hong Kong to tap these tourism markets.”

    Travelers to Hong Kong are required to undergo screening procedures. Arriving travellers must be fully vaccinated. They must produce a Covid-19 test result and are required to undergo quarantine. The Don Mueang-Guangzhou flight will be subject to a policy by the China government, which has allotted a limited entry quota to Thai airlines.

    So far, China has offered no indications as to when it will reopen outbound tourism. However, industry pundits claim the reopening could be as early as the Chinese New Year holiday season in late January or February 2023. Travel to and from China is strictly controlled and mainly limited to essential business travel.

  • Covid causes more turbulence for Pacific Airlines

    Covid causes more turbulence for Pacific Airlines

    The Covid-19 pandemic stopped Pacific Airlines’ recovery and worsened its financial situation, which is “extremely serious,” its parent company, Vietnam Airlines, informed shareholders last week.

    “The shortfall in cash flow and large overdue debts pose the possibilities of insolvency and termination of operations,” the carrier said, adding that it is seeking investors to restructure Pacific.

    In 2018 and 2019, the airlines was on course to recover with profits of VND34.3 billion ($1.48 million) and VND48.6 billion against losses of VND346 billion and VND907 billion the previous two years.

    Its revenues peaked at VND8-9 trillion during the period.

    It posted profits of VND150 billion in January 2020, a monthly record, before Covid-19 hit the aviation industry.

    “If it weren’t for Covid-19, we would have made a big profit,” its chairman and Vietnam Airlines’ deputy director, Trinh Hong Quang, had said in mid-2020.

    That year the budget carrier ended up with a record loss of VND2.14 trillion as revenues plummeted to VND2.6 trillion, a fourth of the previous year’s figure.

    At the end of 2020 it had total assets of over VND6.6 trillion, but its equity had eroded and was in the red.

    In 2021, it lost nearly VND2.31 trillion. Speaking about plans to restructure its subsidiary, Vietnam Airlines said the investor selection process faced legal and other obstacles due to the fact it is a state-owned enterprise.

    If no agreement is reached, its own situation would be at risk, it warned.

    It plans to seek shareholders’ approval to amend a clause in its charter to allow sale of its equity to third parties at the upcoming annual general meeting.

    Pacific Airlines was founded over 30 years ago after authorities approved foreign investment in the aviation industry. As a budget airline, it was expected to increase Vietnam Airlines’ penetration and competitiveness.

    Vietnam Airlines owns 98 percent of the carrier, including 30 percent it got back from Australian airline Qantas in 2020.

  • AirAsia X Eyes A Return To London After 10 Year Break

    AirAsia X Eyes A Return To London After 10 Year Break

    The Malaysia-based low-cost long-haul carrier has stated its intention to resume services between Kuala Lumpur and London later this year, after a decade away. Let’s look a little deeper into the airline’s latest announcement.

    In what the airline is calling “a new era for low-cost, long-haul travel”, AirAsia X (IATA D7 / ICAO XAX) has announced that it will resume flying from Kuala Lumpur to London later this year.

    Along with other new services to Dubai and Instanbul, the decision to resume flying between the capital cities of Malaysia and the UK comes as the airline gears up following several years of stagnation and a suspension of flights. The announcement comes hot on the heels of the airline celebrating the launch of four other new routes to Japan and Hawaii, which are all on sale from today.

    AirAsia X now offers flights across seven routes from Kuala Lumpur to New Delhi, Sydney, Seoul (Incheon), Tokyo (Haneda), Sapporo (Chitose), Osaka (Kansai), and from Osaka (Kansai) to Honolulu. All flights are operated by the carrier’s fleet of 13 Airbus A330-300s, which offer both economy and premium class cabins.

    Although the exact start date and timings are yet to be revealed for the newly-announced London services, they are expected to be in late 2022. The airline previously served London up until 2012, serving London Stansted Airport. The airline has not disclosed its preference for which London airport it will serve at this stage for the new services.

    The additional flights to London, Dubai, and Istanbul will bring the total number of destinations served by the carrier into double figures for the first time. It is also widely expected that the airline will announce new services from Malaysia to both Perth and Melbourne in Australia in the near future.

    Commenting on the latest announcement regarding the new services, the CEO of AirAsia X, Benjamin Ismail, said,

    “We are back, better and stronger than ever. We have spent the downtime in flying reviewing every aspect of the operation to deliver even greater value and choice for medium and long-haul travel. Now that international borders are reopening across the world, we are able to resume operations to our most popular destinations, including Australia, Japan, Hawaii, India, and South Korea first.

    Today’s announcement of the resumption of four routes to Japan and Hawaii and to launch flights to London, Istanbul, and Dubai is just the beginning. We have many more destinations in the pipeline, which we will announce soon, to meet strong pent-up demand.”

    With the backing of principal investor Capital A behind it, AirAsia X appears to have an exciting few years ahead after a two-year hiatus. There are also plans to expand further. The airline also has an outstanding order with Airbus for 15 A330-900 Neo aircraft, which will provide the airline with additional payload and range capabilities going forward.

    Speaking about the rebirth of the carrier and its future aspirations, Capital A President (Commercial) Colin Currie said,

    “Today’s announcement marks a new era for our long-haul affiliate AirAsia X which is resuming operations after a two-year hiatus, with refreshed branding to signal a fresh new start. The relaunched AirAsia X stands for maximum value, maximum experience, and maximum destinations.

    However, the ethos of AirAsia – delivering low-cost, high quality will continue to underpin the new-look AirAsia X, providing maximum opportunity for everyone to go to their dream destinations. Capital A will support AirAsia X moving forward as a conduit to leverage synergies within our broad ecosystem of travel and lifestyle products.

    e will use our full resources, including the AirAsia Super App, our cargo business Teleport, fintech arm BigPay, and all of the other airlines in the AirAsia Aviation Group to take AirAsia to new heights.”

    The last couple of years have been tough for AirAsia X and its investors. Its fleet was effectively mothballed while its finances were reorganized and the COVID-19 pandemic spread across the globe.

    However, the airline is bullish about its future and product offerings with new investment, new branding, and a clear desire to return to its former heydays as a low-cost, long-haul pioneer.

    Speaking of the optimism he holds for the airline from this point, Benjamin Ismail added,

    “The return to London and first-time flights direct to Dubai and Istanbul will be a gamechanger for great value long-haul travel, and these will be on sale soon for travel later this year. As our services grow, we will continue to bring our fleet of aircraft out of hibernation, and we can look forward to gradually bringing our valued pilots and cabin crew who were on furlough back.

    I am confident that our resumed or new services will prove very popular and that we will return to pre-Covid capacity on some of our core routes within the next 12 months. Our strategic new model, combining cargo and passengers, enables AirAsia X to fly profitably where other airlines may not be able to, which makes operations to longer-haul routes like Dubai, Istanbul, and London commercially viable and more affordable for our guests at the same time.”

    As demand for low-cost, long-haul travel appears to be on the rise, it will be good to see a former trailblazer of the model return to form. AirAsia X and others such as Norse Atlantic and Scoot will be working hard to carve out niches as a new age of travel emerges post-pandemic.

    Having traditionally been a difficult market to crack, only time will tell whether the appetite for low-cost, long-haul travel is robust enough to sustain operations in the long term. But with more and more operators willing to give it a go, there are certainly signs that momentum is growing for such services. It is this momentum that AirAsia X, with today’s announcement, is showing a great deal of enthusiasm to exploit.
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  • Bamboo Airways awarded best cabin crew, most improved airline in Asia

    Bamboo Airways awarded best cabin crew, most improved airline in Asia

    Bamboo Airways won the “Best Cabin Crew in Asia” and “Most Improved Airline in Asia” awards at the PAX Awards 2022 ceremony in Hamburg, Germany.

    PAX Awards 2022 was held on June 15 (Hanoi time) by the Canadian leading magazine covering cabin services industry PAX International.

    Truong Phuong Thanh, deputy general director of Bamboo Airways, said: “PAX Awards 2022 provides precious recognition by domestic and international customers and experts of Bamboo Airways’ efforts in upgrading service quality. We see this as a great motivation and encouragement to gear up our roadmap towards 5-star oriented services that we have determined to achieve since the earliest days.”

    PAX Awards is held annually by PAX International magazine based on online voting from around the world. PAX Awards is recognized among prestigious aviation awards honoring excellent service quality and development efforts of the world’s leading airlines and aviation service suppliers.

    This year’s ceremony was held within the framework of World Travel Catering and Onboard Services Expo – WTCE 2022 and Aircraft Interiors Expo – AIX 2022.

    At the previous PAX Awards ceremony, many prominent names in aviation including Qatar Airlines, Air Canada, Emirates Flight Catering… were honored for Outstanding Food Service by a Carrier, Airline Caterer of the year, Best Inflight Duty Free Program, Best Cabin Interior Experience and Best Lounge.

    Bamboo Airways has transported over 10 million passengers safely and led on-time performance across the Vietnamese aviation industry since its establishment.

    Adding to PAX awards, Bamboo Airways continues to grow its footprint in this key market with the launch of a second regular nonstop route to Germany from June 16, connecting Ho Chi Minh City and Frankfurt with one return flight per week.

    With this nonstop service, Bamboo Airways is showing determination in gearing up international network expansion in general and route operation to Europe like the U.K., Germany…in particular. The airline targets a network of 120 routes, including 40 international routes in 2022 to meet heavy travel demands after pandemic.

    The airline has been focusing on methodical training for cabin crew in 5-star service orientation. Bamboo Airways also constantly organizes many global events to recruit flight attendants, attracting a large number of potential candidates from many countries, thus adding qualified personnel and creating opportunities for passengers to experience 5-star oriented services.

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  • Vietnam Airlines expects financial difficulties until 2023-end

    Vietnam Airlines expects financial difficulties until 2023-end

    Vietnam Airlines expects financial difficulties to last until the end of 2023, amid aftermath of the Covid-19 pandemic.

    The flag carrier targets to be profitable and turn around its negative equity this year, it said in a filing to the Ho Chi Minh Stock Exchange, on which its stock HVN is still restricted to trading in the afternoon due to loss reports.

    The airline has recorded an accumulated loss of over VND24.5 trillion ($1.05 billion) as of March, and it wants to turn this situation around and become profitable by 2024 onward.

    It had recently sold a 35 percent stake in Cambodia Angkor Air for $35 million and will sell the remaining stake (14 percent) this year.

    It is set to issue more shares to pump up its capital in 2023 or 2024. In September last year, it raised nearly VND8 trillion by share issuance. The airline said it has been benefiting from a strong rebound in domestic travel.

    Last month, it operated nearly 12,000 flights and transported two million passengers, exceeding its plan by 42 percent.

    International travel, however, has been affected by the Russia-Ukraine crisis and rising fuel prices, the airline said.

    The Vietnamese government owns a more than 86 percent stake in Vietnam Airlines through two entities. Japan’s ANA Corporation owns a 5.6 percent stake.

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  • Vietjet eyes 10-fold jump in profits amid return to post-pandemic normalcy

    Vietjet eyes 10-fold jump in profits amid return to post-pandemic normalcy

    Budget airline Vietjet targets profits of VND1 trillion (US$43.14 million) this year, 10 times the 2021 figure, as it seeks to recover from a two-year slump caused by Covid-19.

    It eyes a 2.5-fold rise in revenues to VND32.72 trillion. At the company’s annual general meeting on Saturday, shareholders expressed concern over the rising oil prices, but the management was optimistic.

    To Viet Thang, deputy CEO, revealed that when oil prices reach $100 per barrel, operation costs increase by 50 percent.

    CEO Nguyen Thi Phuong Thao said the airline has flown when oil prices were above $100 and still made profits.

    “We are always ready to buy fuel at low price and store them to optimize costs.”

    She also said a surcharge is levied when fuel prices surge and this eases the burden on the company.

    Vietjet plans to return to its pre-pandemic schedule domestically and resume 70 percent of international flights.

    Shareholders approved a plan to issue up to 54 million new shares, or 10 percent of the company’s free float.

    Vietjet recently placed a $35-billion order for 200 Boeing 737 aircraft and engine maintenance services.

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  • Government rejects airlines’ demand for further tax cuts

    Government rejects airlines’ demand for further tax cuts

    The Ministry of Finance has turned down airlines’ requests for further tax breaks, saying they have received enough support from the government.

    In response to several airlines’ request to reduce value-added tax from 8 percent to 5 percent and fuel import tax from 7 percent to zero, the ministry said in a statement Friday that only the National Assembly can decide on VAT cuts.

    The current 8 percent VAT is already a reduction from the normal 10 percent, and aviation companies are also eligible for the lower rate, it said.

    It also pointed out that the aviation industry has already benefited from a lot of support in terms of taxes and fees since the pandemic began.

    Environment tax on jet fuel has been reduced by half to VND1,500 per liter until the end of this year.

    It is important to ensure a balance between the benefits companies and the government get, the ministry said.

    Vietnamese carriers served 14.5 million passengers in the first four months of this year, up 26.3 percent year-on-year, according to the General Statistics Office.

    Airlines resumed regular international services in March after a two-year hiatus due to Covid-19.

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  • AirAsia Resumes Flights Between Kuala Lumpur and Siem Reap, Cambodia

    AirAsia Resumes Flights Between Kuala Lumpur and Siem Reap, Cambodia

    AirAsia has resumed flights between Kuala Lumpur and Siem Reap, Cambodia. The airline will operate the route with two flights per week on Mondays and Fridays. Flight AK540 is scheduled to depart from Kuala Lumpur International Airport 2 (klia2) at 13:05, arriving in Siem Reap at 14.20. The return flight, AK541, is timed to leave Siem Reap at 14:55, arriving back in Kuala Lumpur at 18:10.

    Cambodia was one of the first countries in the region to relax its entry requirements for foreign travel, reopening the Kingdom to fully vaccinated international travellers without the need for quarantine or COVID19 testing at all international gateways and checkpoints in November 2021.

    HE Thong Khon, Minister of Tourism, Cambodia, said, “Cambodia is now truly open for all vaccinated tourists and we welcome AirAsia guests back to our great country with open arms. Tourism is a significant driver of our economy and social development, we thank AirAsia for their continued support to stimulate and grow air travel to our key leisure destinations. Cambodia, the Kingdom of Wonder, invites travellers from all walks of life to feel its warmth, safely and hygienically.”

    The Siem Reap flights follow AirAsia’s resumption of flights between Kuala Lumpur and Phnom Penh, the Kingdom’s capital city, in January.

    “Prior to COVID19, Siem Reap was one of the most popular destinations in ASEAN as a key tourist hub for globetrotters from all over the world,” said Riad Asmat, CEO AirAsia Malaysia. “AirAsia started the route in 2018 and flew close to 170,000 passengers in 2019. We are confident that these new services will continue to be very popular in the future. In response to strong demand, we are also planning more flights and destinations in Cambodia with services to Sihanoukville scheduled to take flight on 2 June. AirAsia welcomes the initiatives taken by the Cambodian government to ease travel restrictions to allow more seamless travel to Cambodia. We look forward to flying more leisure seekers from near and far to the country soon.”

    For entry into Malaysia, all international tourists and travellers are required to take a pre-departure COVID19 test within 2 days of departure and purchase COVID19 travel insurance (for short-term foreign visitors). Unvaccinated or partially vaccinated travellers are required to spend 5 days in quarantine.

    For entry into Cambodia, there are no pre-departure, post-arrival COVID19 tests or quarantine requirements for fully vaccinated travellers. Travellers are only required to show proof of being fully vaccinated. Fully vaccinated travellers from Malaysia who wish to travel to Cambodia must meet the requirements set by the Cambodian Government prior to purchasing their flights and upon arrival.

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  • AirAsia powers Super App with Google Cloud

    AirAsia powers Super App with Google Cloud

    AirAsia has unveiled a five-year strategic collaboration with Google Cloud to advance Super App capabilities through cloud-based co-innovation across Southeast Asia.

    Central to such efforts will be the combination of core competencies to nurture technology talent, the co-creation of software tools for “open innovation” and the delivery of data-driven intelligence targeting micro-, small- and medium-sized enterprises (MSMEs) on the platform. This is in addition to improved accessibility for diverse users in cities and rural areas.

    Operating as a, forming part of Capital A’s digital pillar alongside AirAsia as a multinational airline.

    The platform offers flight and hotel bookings, e-commerce, food and parcel delivery, ride-hailing, financial and health services and on-demand education among others, supported by an integrated rewards program and mobile wallet.

    Since launching in 2020, Super App has become one of three unicorns headquartered in Malaysia, according to Credit Suisse, and currently houses 51 million users across ASEAN.

    “Five years ago, when I decided to move our digital journey to its next stage, I was looking for a partner to help us reach that nirvana, much like how Airbus and General Electric helped us grow from a little two-plane operation to become the fourth-largest airline in Asia,” said Tony Fernandes, CEO of Capital A.

    “I went around the US looking for that partner, met Diane Greene from Google Cloud, and the journey started. With Thomas and his team, we are now on the road to disrupting the digital platform arena in the same vein as we did airlines.”

    Despite acknowledging that Capital A is “late in the game” from a digital perspective, Fernandes said Super App now operates at the “centre of our ecosystem” of e-commerce, logistics and fintech.

    “We are determined to give all 700 million people in ASEAN inclusivity, accessibility and value,” he added. “With Google’s help, our ecosystem will not only be transactional, but be about building community, and enriching that community – not just the customers but partners like restaurants, airlines, hotels, and drivers. What we are doing is not evolutionary, but revolutionary. I’m going to enjoy the ride with Google.”

    To help create an “agile culture and co-innovation talent engine”, Super App and Google Cloud will establish a Cloud Centre of Excellence (CCoE) consisting of AirAsia Allstars and Google Cloud technologists.

    The move is designed to “embed an agile culture” across all Super App business units to “accelerate product development velocity” and up-skill talent, supported by access to Google Cloud’s Site Reliability Engineering (SRE) and MLOps best practices.

    “To benefit everyone across Southeast Asia’s heterogeneous communities, the Super App must be simple and easy-to-use while underpinned by inclusive design, interoperability and personalisation,” outlined Amanda Woo, CEO, Super App.

    “It’s therefore crucial that we leverage Google’s rich experience in building global platforms and ecosystems to equip and engage more talent, entrepreneurs a

  • Bamboo Airways not affected by ex-chairman’s arrest

    Bamboo Airways not affected by ex-chairman’s arrest

    The Civil Aviation Authority of Vietnam says carrier Bamboo Airways is operating normally, unaffected by the recent arrest of its ex-chairman Trinh Van Quyet.

    The carrier’s key personnel, including pilots, cabin crew, and technical staff are complying with all regulations, it reported to the Ministry of Transport Thursday, after an emergency meeting with the airline’s management.

    The meeting happened a day after the arrest of real estate giant FLC and Bamboo Airways chairman Trinh Van Quyet for alleged manipulation of his company’s share prices by using 20 different trading accounts to create fake demand.

    Quyet is the largest shareholder of the airline, holding 55.5 percent of its charter capital, or VND3.89 trillion ($170.3 million). Bamboo Airways has a charter capital of VND7 trillion.

    The aviation authority also assured that in the case Quyet’s assets were frozen, the carrier would still operate normally operational, as it meets the government’s minimum capital requirement of VND700 billion.

    But it will keep a close watch on the carrier for the next three to six months to ensure safety and assess the impacts of Quyet’s arrest.

    “The Civil Aviation Authority of Vietnam will support Bamboo Airways when necessary to help the airline overcome current difficulties, and maintain development,” it said.

    On Thursday, FLC deputy chairman and Bamboo Airways’ general director Dang Tat Thang replaced Quyet as the airline’s new chairman until shareholders and the board of directors make a final decision.

    Thang continues to retain his position as general director.

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  • Bamboo Airways to be monitored for safety following chairman’s arrest

    Bamboo Airways to be monitored for safety following chairman’s arrest

    The Civil Aviation Authority of Vietnam said it would closely monitor Bamboo Airways for the next three to six months to ensure safety following the arrest of its chairman.

    Its aircraft maintenance and operations and training would be closely supervised, deputy head of the Civil Aviation Authority of Vietnam (CAAV), Ho Minh Tan, said at an emergency meeting with the airline’s management Wednesday.

    The meeting came a day after real estate giant FLC and Bamboo Airways chairman Trinh Van Quyet for alleged manipulation of his company’s share prices by using 20 different trading accounts to create fake demand.

    He had earned VND530 billion (US$23.19 million) in this manner between Dec. 1 and Jan. 10, investigators said.

    Deputy general director Nguyen Ngoc Trong said banks and financial institutions are committed to fulfilling all contracts they have signed with the carrier, which would in turn fulfill all its responsibilities and obligations. Bamboo Airways began flying in 2019.

    On Thursday, Dang Tat Thang was named the new chairman to replace Quyet until shareholders and the board of directors make a final decision. He also remains the general director.

  • AirAsia ready for border reopening, expects 250 international flights weekly by end-April

    AirAsia ready for border reopening, expects 250 international flights weekly by end-April

    AirAsia is expecting an increase of more than 70 international flight volumes per week for the first week of border reopening starting on April 1.

    AirAsia Malaysia chief executive officer Riad Asmat said the international flight number is expected to reach 250 weekly by the end of April.

    “AirAsia welcomes the announcement by the Malaysian government to fully open international borders on April 1, we are ready.

    “I believe the seamlessness of travel will happen sooner than later,” he told reporters in a media briefing on the airline’s preparation for border reopening here today.

    He said since resuming its operations with travel bubbles and a focus on domestic services, the gradual resumption of international flying is already well underway in tandem with borders gradually reopening around the world.

    With the continued easing of travel restrictions, the airline group has increased its domestic flight capacity by 156 percent since October 2021 kickstarted with the Langkawi travel bubble, and by 50 percent for international flights since the announcement of borders reopening in April is made by the government on March 8, 2022.

    A total of 75 aircraft are operating currently group-wide, he said. This is also supported by the reopening of other countries like Thailand, the Philippines, Indonesia, Cambodia, Singapore and Vietnam, said Riad.

    While the airline currently has a number of international services already operating, the announcement of the nation’s reopening will provide a welcome boost to support additional capacity in many of its core international markets in line with significant pent-up demand.

    Meanwhile, AirAsia Aviation Group Ltd chief executive officer Bo Lingam said the airlines earnings is expected to go back to pre-Covid level presumably by the end of the year with the hope that the fuel price goes down by then.

    “AirAsia applauds the governments around the region for their decision to reopen borders and remove travel restriction with minimal testing requirements.

    “We are thrilled to be resuming more flights in all of our core markets in Malaysia, Thailand, the international destinations including Bali, Manila, Bangkok, Ho Chi Minh City, Phuket, and more, starting in April.

    Domestic flying also continues to soar across the group with four new domestic routes launched in Malaysia, from Kuching to Langkawi, Penang to Sibu, Johor Bahru to Bintulu, and Kota Kinabalu to Kuala Terengganu this year, he said.

    “Regionally, we have seen similarly encouraging developments for domestic and international services in Thailand, the Philippines and Indonesia. We will continue to review our network which evolves based on a number of factors including demand,” he said.

    He added that new services will be announced in due course as the world continues to gradually reopen.

    “While our domestic services across the group have grown by 156 per cent in recent months due to significant consumer demand, and by 50 per cent for international, we expect to return to 100 percent or more of pre-COVID domestic and international flying by the end of this year,” he said.

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  • AirAsia boosts domestic and international flights

    AirAsia boosts domestic and international flights

    AirAsia gears up for the nation’s reopening by adding more international routes to cater for significant pent-up demand ahead of Malaysia reopening borders to international travel 1 April.

    With the continued easing of travel restrictions, the airline group increased domestic flight capacity in Malaysia by 156% since October 2021, when it kickstarted the Langkawi travel bubble scheme.

    It has also increased international flights by 50% since the Malaysian government’s 8 March announcement confirming the reopening of borders on 1 April.

    Currently, the airline has 75 aircraft operating flights across the group serving Thailand, the Philippines, Indonesia, Cambodia, Singapore and Vietnam.

    AirAsia Aviation Group CEO Bo Lingam said:  We’re thrilled to be resuming more flights in all of our core markets in Malaysia, Thailand, the Philippines and Indonesia and to be adding additional services to some of AirAsia’s most popular international destinations, including Bali, Manila, Bangkok, Ho Chi Minh City, Phuket and more, starting in April. Domestic flying also continues to soar across the group. We have recently  launched four new domestic routes in Malaysia from Kuching to Langkawi, Penang to Sibu, Johor Bahru to Bintulu and Kota Kinabalu to Kuala Terengganu this year.

    “While our domestic services across the group have grown by 156% in recent months due to significant consumer demand, and by 50% for international, we expect to return to 100% or more of pre-Covid domestic and international flying by the end of this year.”

    To spur travel demand and bookings to destinations such as  Singapore, Vietnam, the Philippines, India, Thailand, Indonesia, the Maldives, Brunei, Cambodia, Sri Lanka, Laos, Bangladesh, the airline group is pegging fares as low as MYRM89 one-way, while domestic routes are on sale from just MYR39 one-way.

    Travelers can book cheap fares through the ‘Flights’ option in the AirAsia Super App from now until 27 March 2022 for travel between 1 April and 25 March 2023.

  • Vietnam Airlines eyes airfare cap hike, fuel surcharge

    Vietnam Airlines eyes airfare cap hike, fuel surcharge

    Vietnam Airlines proposed to raise the price cap for domestic travel from April 1 and add a fuel surcharge for local routes.

    The current price cap of air transportation services is no longer suitable, the airline said in its proposal sent to the Ministry of Transportation and the Ministry of Finance on March 14.

    The current maximum fare is VND2.2 million ($96) for routes under 850 kilometers, and VND3.75 million for those above 1.280 kilometers.

    The higher cap would serve to offset costs of rising oil prices and improve service quality, the airline said.

    Its proposal also advocated for a fuel surcharge on domestic routes and full environmental tax exemption for aviation fuel in 2022, which would save the airline more than VND600 billion if approved.

    Previously, the Civil Aviation Authority of Vietnam had repeatedly requested the airfare cap be removed, but to no avail.

    Last year, the national carrier proposed to set price floors between VND560,000 and VND1.4 million for air tickets on domestic routes, but the Ministry of Transportation rejected the idea.

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